On the sector front, basic resources tumbled 2.73 percent, making it Europe's worst performer on Tuesday. The sector was weighed down after disappointing data came out of China and metal prices declined. Industrial production, retail sales and fixed asset investment numbers in the world's second-largest economy missed expectations.

Several London-listed miners consequently fell to the bottom of the index, with Anglo American, Rio Tinto and Glencore all ending down 2.5 percent or moreeach.

A decline in oil prices and energy stocks also weighed on investor sentiment, with both Brent and WTI falling roughly 2.5 percent by the market close, on the back of further rises in U.S. output.

Telecoms outperformed most sectors, closing up 0.36 percent, with the U.K. telecoms giant Vodafone leading the way, after it raised its full-year earnings growth to around 10 percent from 4-8 percent. The numbers sent the stock to close up over5 percent.

Technology stocks ended in the black, with Simcorp reporting third-quarter results above expectations. The stock rose to the top of the STOXX 600, soaring 10 percent.

In terms of data, flash gross domestic product figures in Germany showed an expansion driven by exports and investments. GDP was up 0.8 percent in the third quarter from 0.6 percent in the previous quarter.

In the U.K., new inflation numbers came in lower-than-expected with consumer prices up 0.1 percent month-on-month and 3 percent year-on-year versus 0.2 and 3.1 percent expected, respectively. Sterling dropped on the data but recovered throughout trade.

Overseas, U.S stocks were under pressure around Europe's close, as investors monitored the drop in General Electric shares, while sentiment was also dampened by signs of a potential global economic slowdown due to China's data, and concerns around U.S. tax reform.